--- Eric Crampton <[EMAIL PROTECTED]> wrote: > Why are we assuming that instituting the demand revealing process would > get us to uniform average-cost taxation?
Is that not an integral part of the demand revealing process? To get one's net value, we need to know the cost he will pay, and that cost is the average cost. > For any such issues, it would be a rather safe bet to assume > that one's dollar vote wouldn't be decisive. I concede that. > [presuming] (3) the utility derived from expression and wining does > not count. > 3) Not true. Those benefits just have to be lower than social cost to get > an inefficient outcome. But if the tax payment includes all the social cost, and value is revealed in the willingness to pay the opportunity cost (sacrifice of resources), why would the benefits be lower than the social cost? The value of the item would include that due to expression. Fred Foldvary ===== [EMAIL PROTECTED]
